How Much Is Thriven Global Berhad (KLSE:THRIVEN) CEO Getting Paid?

This article will reflect on the compensation paid to Ghazie bin Abdullah who has served as CEO of Thriven Global Berhad (KLSE:THRIVEN) since 2013. This analysis will also assess whether Thriven Global Berhad pays its CEO appropriately, considering recent earnings growth and total shareholder returns.

See our latest analysis for Thriven Global Berhad

Comparing Thriven Global Berhad's CEO Compensation With the industry

According to our data, Thriven Global Berhad has a market capitalization of RM115m, and paid its CEO total annual compensation worth RM803k over the year to December 2019. That's mostly flat as compared to the prior year's compensation. We note that the salary portion, which stands at RM688.8k constitutes the majority of total compensation received by the CEO.

In comparison with other companies in the industry with market capitalizations under RM817m, the reported median total CEO compensation was RM802k. This suggests that Thriven Global Berhad remunerates its CEO largely in line with the industry average. What's more, Ghazie bin Abdullah holds RM5.0m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Talking in terms of the industry, salary represented approximately 83% of total compensation out of all the companies we analyzed, while other remuneration made up 17% of the pie. There isn't a significant difference between Thriven Global Berhad and the broader market, in terms of salary allocation in the overall compensation package. If salary is the major component in total compensation, it suggests that the CEO receives a higher fixed proportion of the total compensation, regardless of performance.

A Look at Thriven Global Berhad's Growth Numbers

Thriven Global Berhad has seen its earnings per share (EPS) increase by 36% a year over the past three years. Its revenue is down 46% over the previous year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's always a tough situation when revenues are not growing, but ultimately profits are more important. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has Thriven Global Berhad Been A Good Investment?

Thriven Global Berhad has served shareholders reasonably well, with a total return of 16% over three years. But they probably don't want to see the CEO paid more than is normal for companies around the same size.

To Conclude...

As we touched on above, Thriven Global Berhad is currently paying a compensation that's close to the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. But EPS growth over the last three years has been impressive, although the same cannot be said for shareholder returns. So considering these factors, we think the compensation is probably quite reasonable, but investor returns need a boost moving forward.

We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. We did our research and identified 2 warning signs (and 1 which can't be ignored) in Thriven Global Berhad we think you should know about.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

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This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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